COUNCIL AGENDA ITEM
SUBJECT:
title
Resolution 2025-R-03; March Amended Budget for Fiscal Year 2024-2025
body
DEPARTMENT:
Finance
SUMMARY:
The Interim City Manager and staff have performed a review of various matters that have occurred after the approval of the original and roll-forward budget amendment. The budget is amended at fund level as found in the exhibit A. An additional detail schedule was attached to the agenda to assist in providing further clarification of budget amendment items.
The total budget amendment is for $17,655,298 of which almost $8,399,349 is for transfers to capital projects and internal service funds for a total increase in expenditures of approximately $9,255,949.
The Interim City Manager and Human Resources Director met with the Police and Fire unions for the additional meeting discussed during prior negotiations. Due to HR identifying budgetary savings for open positions and insurance cost savings, there was an agreed upon wage increase of 2% for police, fire. The budget amendment includes a 2% increase for all employees with the exception of the Interim City Manager. The related MOUs and agenda items are included in the other business that will be discussed later on the agenda.
The associated cost increases are detailed as follows: PD $50,277, FD $46,655, All other general fund $57,489, W&S $41,409, Solid Waste $11,393, Stormwater $9,010, IT $3,312 Fleet $2,892
The other items brought forward in the budget amendment include:
• The additional cost for an election in the amount of $16,350
• The public safety overtime budget is projected to need an additional $825k by the end of the current fiscal year. $537k for Police which should be offset by mutual aid in the amount of $191k and an additional $288k for Fire.
• The City received an additional $50,348 in transport revenue from the County that the Fire Department intends to use to purchase bunker gear for its recently hired employees as approved at the ----Feb. 3rd council meeting.
• The Interim City Manager was directed through a consensus of council to add a PT Grants Clerk. The annual amount is estimated to be $33,634 and the amount to cover to current fiscal year end around $19k will be funded from other department vacancies.
• The building department is in need of two additional vehicles estimated cost $61,814 which would be covered by fund balance related to building permit revenue.
• Whistle-stop Park Milling and Asphalt driveway & Parking cost to repair damaged during Hurricane Ian in the amount of $109k as approved at the January 13th council meeting. There is currently an open project with FEMA, which is in the works, but reserves will be used until FEMA funding is secured.
• Some of the Revenue and expense offsets to aforementioned include: $50k transport mentioned, the $191k in mutual aid is still in progress, if not received this would be a further reduction to General Fund reserves. There is building permit revenues available to offset the vehicle purchases, we received an additional $50k in interest on property tax payments from the county. The County BTR program was suspended creating a reduction to budgeted revenue of ($21k). The reduction to the first step shelter contribution from original budget in the amount of ($38,887).
• In the last budget amendment, we included use of $300k in reserves towards the update to the land development code & comprehensive plan that was projected to be $300k if outsourced. It is going to be done in house for approximately $50,000 reducing the use of reserves by $250k.
• The total estimated use of General Fund reserves for these items is $440,621.
• The mayor & council approved the purchase of a sniper rifle and accessories using funding from the SLETF (Special Law enforcement Trust Fund) approximately $18k
• A development agreement for Parktown industrial park requires the City to pay the cost of certain road and pond improvements. There will be three (3) phases in the next few years. The first phase is estimated to be $1.4 million, of which $501,033 of the cost is eligible to be funded from transportation impact fees. The remaining $963,941 for stormwater ponds will be transferred from the ARPA economic impact fund to the stormwater capital projects fund. The remaining two (2) phases are estimated to cost an additional $3 million of which $750,000 would qualify for transportation impact fees and the remaining $2.3 million of funds will need identified either use of reserves or other funding source such as debt.
• The development agreement related to Kumquat extension will require up to $877k in transportation impact fee use, of which we are incorporating $100k in current budget amendment for the purchase of property for this project.
• The project within the CRA fund previously identified for Hawks Park was determined to be ineligible for CRA Funds and subsequently General fund dollars were earmarked. The amount for this project within CRA fund of $300k is being reallocated to the emergency traffic signal city match at 32.5% of total project cost that is estimated to be $293,442 since the City already matched $127k in the design phase the estimate additional match will be $166,307. Final costs will be known once the project is bid out. The remaining balance will be reallocated to other projects after project completion.
• The additional cost for engineering services for the CDBG Sewer lining project in the amount of $58,500. $50,000 will be reduced from the construction amount for the project and the other $8,500 will be transferred from another project.
• The City was awarded Transform 386 CDBG Grants for Stormwater Canal Armoring project in the $3,071,000 with City Match of $1,079,000 total project cost of $4,150,000. The City had set aside $1 mil. From ARPA economic impact fund into the grants fund for this project. An additional $79,000 is needed to cover the City Match. This will be transferred from the ARPA economic Impact fund to the grants fund.
• The City was also awarded Transform 386 CDBG Grants for the floodproofing and hardening of the WWTP Operations building in the amount of $1,575,000 with City Match of $525,000 for total project cost of $2,100,000. The City has identified $525k from W&S projects.
• It is also our understanding that the Mayor & Interim City Manager have applied for $1 million in House Appropriations which will require an additional $1 million in City Match funds. City staff will transfer the $1 mil. match portion into the Grants tracking Fund.
• The city approved the grant funding for the Vulnerability Study in the amount of $75k. This incorporates the budget for the grant revenue and study expense.
• The City wishes to move forward with a stormwater impact fee study. The estimated amount for this study is $20,000.
It is staff’s recommendation to approve Resolution No. 2025-R-03 herein referred to as the March Amended Budget for Fiscal Year 2024 - 2025.
BUDGETED ITEM: ☒ Yes ☐ No ☐ Not Applicable
BUDGET AMENDMENT REQUIRED: ☒ Yes ☐ No ☐ Not Applicable
RECOMMENDED ACTION:
Motion to approve Resolution 2025-R-03